Insurance bill favors big carriers, small insurers say

Small property insurers are urging Gov. Charlie Crist to veto a measure that critics say favors State Farm. In a letter today, the Florida Property & Casualty Association says House Bill 1171 would create “an unbalanced and dangerously fragmented approach to rate deregulation” and “long-term negative consequences” for consumers.

“The bill also will give large insurance companies a significant competitive advantage over Florida domestic companies because those large companies will basically be able to ‘redline’ areas of the state in which they do not wish to write insurance,” writes Roger Desjadon, head of the trade group and president of Florida Peninsula Insurance of Boca Raton.

Last week, the Florida Legislative Black Caucus wrote a letter to Crist that implored him to sign House Bill 1171.

“This bill would encourage large, well-capitalized companies to return to Florida, or to start writing new homeowners policies in our state again,” wrote Sen. Gary Siplin, D-Orlando.